Packard Company Engaged in the Following Transactions During Year 1

question 131

Multiple Choice

Packard Company engaged in the following transactions during Year 1, its first year of operations: (Assume all transactions are cash transactions.) 1) Acquired $950 cash from the issue of common stock.2) Borrowed $420 from a bank.3) Earned $650 of revenues.4) Paid expenses of $250.5) Paid a $50 dividend. During Year 2, Packard engaged in the following transactions: (Assume all transactions are cash transactions.) 1) Issued an additional $325 of common stock.2) Repaid $220 of its debt to the bank.3) Earned revenues of $750.4) Incurred expenses of $360.5) Paid dividends of $100.
The amount of total liabilities on Packard's Year 1 balance sheet is

• A)$200
• B)$340
• C)$420
• D)$670

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Definitions:

Maturation

The process of becoming mature or fully developed, either in a biological context or referring to the development of concepts and skills.

Dry Skin

A condition characterized by a lack of adequate moisture in the outer layer of the skin, leading to roughness, flaking, itching, and sometimes cracking.

Fat-Free Soap

A type of soap that contains no fats or oils, often used for specific dermatological conditions or preferences.

Blood Flow

The movement of blood through the circulatory system, delivering nutrients and oxygen to cells and removing waste products.